$7.9 M in revenue for the fourth quarter represents 26% growth over the same period in the prior year

$487,000 in Adjusted EBITDA for the fourth quarter is an improvement from the Adjusted EBITDA loss of $173,000 in the same period prior year

$28.6 M in revenue for the year represents 20% growth over the prior year

$573,000 in Adjusted EBITDA for the year is an improvement from the Adjusted EBITDA loss of $1.9 M in the prior year

$1 M of cash generated from operations for the year

$14.7 M cash balance at the end of the year

Completed the spin-off of our Healthcare division making us a pure play in enterprise software for financial services

"20% growth was enough to make us cash flow positive" said William M. Tatham, Chief Executive Officer of NexJ. "Our strong performance was due to good reception of our newest products for financial services."

Conference Call InformationNexJ will be hosting an earnings report conference call today at 5:00 p.m. ET. The call can be accessed via webcastor by phone by dialing 647-427-7450 (Toronto local or international) or 1-888-231-8191 (North America Toll Free). Investors should dial in approximately 10 minutes before the teleconference is scheduled to begin.

A replay of the call will be available beginning today at 8:00 p.m. ET through 11:59 p.m. on February 25, 2016 and can be accessed by dialing 416-849-0833 (Toronto local) or toll free at 1-855-859-2056 and using password 43841879.

NexJ Systems Inc.

Fourth Quarter Financial Results

(Expressed in thousands of Canadian dollars)

(Unaudited)

Quarter ended December 31, 2015

Quarter ended December 31, 2014

FinancialServices

Healthcare

Corporate

Total*

FinancialServices

Healthcare

Corporate

Total*

Revenue:

$

$

$

$

$

$

$

$

License and subscription fees

1,190

121

-

1,311

1,198

46

-

1,244

Professional services

5,122

56

-

5,178

3,867

5

-

3,872

Maintenance and support

1,579

9

-

1,588

1,192

39

-

1,231

7,891

186

-

8,077

6,257

90

-

6,347

Expenses:

Professional services

3,260

139

-

3,399

2,638

184

-

2,822

Research and development

1,761

537

-

2,298

1,609

689

-

2,298

Sales and marketing

1,247

225

-

1,472

1,067

464

-

1,531

General and administrative

1,136

602

101

1,839

1,116

312

215

1,643

7,404

1,503

101

9,008

6,430

1,649

215

8,294

Adjusted EBITDA

487

(1,317)

(101)

(931)

(173)

(1,559)

(215)

(1,947)

Share-based payment expense

202

20

Depreciation and amortization

339

357

Loss from operations

(1,472)

(2,324)

Foreign exchange gain

(356)

(98)

Finance income

(24)

(61)

Finance cost

-

37

Impairment charge

864

1,887

Net loss for the period

1,956

4,089

Year ended December 31, 2015

Year ended December 31, 2014

FinancialServices

Healthcare

Corporate

Total*

FinancialServices

Healthcare

Corporate

Total*

Revenue:

$

$

$

$

$

$

$

$

License and subscription fees

4,889

395

-

5,284

3,148

303

-

3,451

Professional services

18,290

336

-

18,626

15,500

1,490

-

16,990

Maintenance and support

5,401

40

-

5,441

5,229

172

-

5,401

28,580

771

-

29,351

23,877

1,965

-

25,842

Expenses:

Professional services

12,166

635

-

12,801

11,030

1,239

-

12,269

Research and development

6,770

2,141

-

8,911

6,313

3,465

-

9,778

Sales and marketing

4,874

1,159

-

6,033

4,149

2,225

-

6,374

General and administrative

4,197

1,518

870

6,585

4,267

1,634

840

6,741

28,007

5,453

870

34,330

25,759

8,563

840

35,162

Adjusted EBITDA

573

(4,682)

(870)

(4,979)

(1,882)

(6,598)

(840)

(9,320)

Share-based payment expense

510

274

Depreciation and amortization

1,913

1,714

Lease-exit charges, net

351

(625)

Impairment charge

864

1,887

Earn-out recovery

(398)

-

Loss from operations

(8,219)

(12,570)

Foreign exchange gain

947

553

Finance income

116

265

Finance cost

-

(126)

Loss before income taxes

(7,156)

(11,878)

Income taxes recovery:

Deferred

16

-

16

-

Net loss for the period

(7,140)

(11,878)

*Total revenue and expenses have been presented for both the business units; Financial Services and Healthcare as compared to the presentation in theaudited consolidated statements of comprehensive loss for the year ended December 31, 2015, wherein the total revenue presented relate to FinancialServices and the net of revenue and expenses for Healthcare have been presented as part ofthe loss from discontinued operation.

Non-IFRS MeasuresThis news release includes certain measures that have not been prepared in accordance with International Financial Reporting Standards ("IFRS") such as Adjusted EBITDA and Adjusted EBITDA margin which are used to evaluate the Company's operating performance as a complement to results provided in accordance with IFRS. The Company believes that Adjusted EBITDA and Adjusted EBITDA margin are useful supplemental information as it provides an indication of the results generated by the Company's main business activities prior to taking into consideration how those activities are financed and taxed and also prior to taking into consideration asset depreciation and the other items listed below.

The term "Adjusted EBITDA" refers to net income/loss before adjusting for share-based payment expense, depreciation and amortization, impairment charge on non-financial assets, lease-exit charges, net, earn-out expense (recovery), foreign exchange gain/loss, finance income, finance costs and income taxes. "Adjusted EBITDA margin" refers to the percentage that Adjusted EBITDA for any period represents as a portion of total revenue for that period.

The term Adjusted EBITDA and Adjusted EBITDA margin are not measures recognized by IFRS and do not have standardized meanings prescribed by IFRS. Therefore, Adjusted EBITDA and Adjusted EBITDA margin may not be comparable to similar measures presented by other issuers. Investors are cautioned that Adjusted EBITDA and Adjusted EBITDA margin should not be construed as an alternative to net income (loss) as determined in accordance with IFRS.

About NexJ Systems Inc.NexJ Systems provides enterprise customer management solutions to the financial services industry. Our solutions include industry-specific customer relationship management (CRM) for multi-channel engagement and collaboration; customer process management (CPM) for client onboarding and KYC; and customer data management (CDM) to deliver a holistic view of customers across line of business and regional data silos. Our solutions integrate information from multiple systems into a unified view to help firms better understand and share information about their customers to increase loyalty, drive cross-sell and improve the customer experience.

Based in Toronto, NexJ has clients throughout North America, Asia Pacific and in Europe. For more information about NexJ visit www.nexj.com, e-mail info@nexj.com, or call 416-222-5611. Join us on LinkedIn, follow us on Twitter, subscribe to our YouTube channel, like us on Facebook or hang out with us on Google+.

NexJ Forward-looking StatementCertain statements in this press release, including statements about the financial conditions, and results of operations and earnings, may contain words such as "could", "expects", "may", "should", "will", "anticipates", "believes", "intends", "estimates", "targets", "plans", "envisions", "seeks" and other similar language and are considered forward-looking statements or information under applicable securities laws. These statements are based on the Company's current expectations, estimates, forecasts and projections about the operating environment, economies and markets in which the Company operates. These statements are subject to important assumptions, risks and uncertainties that are difficult to predict, and the actual outcome may be materially different. The Company's assumptions, although considered reasonable by the Company at the date of this press release, may provide to be inaccurate and consequently the Company's actual results could differ materially from the expectations set out herein.

Actual results or events could differ materially from those contemplated in forward-looking statements as a result of the following: (i) the future performance, financial and otherwise, of NexJ; (ii) the ability of NexJ to protect, maintain and enforce its intellectual property rights; (iii) the acceptance by the Company's customers and the marketplace of new technologies and solutions; (iv) the Company's growth and profitability prospects; (v) the estimated size and growth prospects of the CRM market; (vi) the Company's competitive position in the CRM market and its ability to take advantage of future opportunities in this market; (vii) the Company's ability to attract new customers and develop and maintain existing customers; and (viii) the demand for the Company's product and the extent of deployment of the company's products in the CRM marketplace. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances.

The risks and uncertainties that may affect forward-looking statements include, but are not limited to: (i) our dependence on a limited number of customers and large project size; (ii) fluctuation in our quarterly operating results; (iii) our dependence on key personnel and our compensation structure; (iv) risks associated with managing large and complex software implementation projects; (v) uncertainties and assumptions in our sales forecasts, including the extent to which sales proposals are converted into sales; (vi) risks associated with our ability to design, develop, test, market, license and support our software products on a timely basis; (vii) market acceptance of our products and services; (viii) commercial success of products resulting from our investment in research and development; (ix) our success in expanding sales into new international markets; * risks associated with expansion into healthcare and other new industry verticals; (xi) competition in our industry; (xii) failure to protect our intellectual property or infringement of intellectual property rights of third parties; (xiii) reliance upon a limited number of third-party software products to develop our products; (xiv) defects or disruptions in our products and services; (xv) currency exchange rate fluctuations; (xvi) lengthy sales cycles for our software; (xvii) global financial market conditions; (xviii) failure to manage our growth successfully; and (xix) failure to successfully manage and integrate acquisitions.

For additional information with respect to risks and other factors which could occur, see the Company's most recently filed Annual Information Form for the year ended December 31, 2015 dated February 18, 2016, and other securities filings with the Canadian securities regulators available on www.sedar.com. Unless otherwise required by applicable securities laws, the Company disclaims any intention or obligations to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

NexJ Systems Inc.

Consolidated Statements of Financial Position

(Expressed in thousands of Canadian dollars)

(Unaudited)

December 31, 2015

December 31, 2014

Assets

$

$

Current assets:

Cash and cash equivalents

14,699

18,298

Accounts receivable

8,274

7,853

Prepaid expenses and other assets

968

1,448

Assets held for distribution

962

-

Total current assets

24,903

27,599

Non-current assets:

Property and equipment

2,102

2,472

Intangible assets

-

1,756

Goodwill

1,753

2,617

Other assets

260

260

Total non-current assets

4,115

7,105

Total assets

29,018

34,704

Liabilities and Shareholders' Equity

Current liabilities:

Accounts payable and accrued liabilities

5,424

4,619

Deferred revenue

4,382

4,726

Provisions

223

121

Earn-out liability

-

678

Liabilities held for distribution

964

-

Total current liabilities

10,993

10,144

Non-current liabilities:

Accrued liabilities

658

391

Provisions

224

234

Deferred tax liability

-

16

Deferred revenue

304

238

Total non-current liabilities

1,186

879

Total liabilities

12,179

11,023

Shareholders' equity:

Share capital

83,094

83,306

Share purchase loans

(3,622)

(3,622)

Contributed surplus

6,293

5,783

Deficit

(68,926)

(61,786)

Total shareholders' equity

16,839

23,681

Total liabilities and shareholders' equity

29,018

34,704

NexJ Systems Inc.

Consolidated Statements of Comprehensive Loss

(Expressed in thousands of Canadian dollars, except per share amounts)

(Unaudited)

Quarter endedDecember 31,

Year endedDecember 31,

2015

2014

2015

2014

(Restated)

(Restated)

Revenue:

$

$

$

$

License and subscription fees

1,190

1,198

4,889

3,148

Professional services

5,122

3,867

18,290

15,500

Maintenance and support

1,579

1,192

5,401

5,229

7,891

6,257

28,580

23,877

Expenses*:

Professional services

3,317

2,651

12,311

11,163

Research and development, net

1,837

1,614

6,973

6,369

Sales and marketing

1,263

1,062

4,934

4,177

General and administrative, net

1,566

1,685

7,183

6,081

Impairment charge

-

1,887

-

1,887

7,983

8,899

31,401

29,677

Loss from operations:

(92)

(2,642)

(2,821)

(5,800)

Foreign exchange gain

356

98

947

553

Finance income

24

61

116

265

380

159

1,063

818

Loss before income taxes

288

(2,483)

(1,758)

(4,982)

Income taxes

-

-

-

-

Loss from continuing operations

288

(2,483)

(1,758)

(4,982)

Loss from discontinued operation

(2,244)

(1,606)

(5,382)

(6,896)

Net Loss and comprehensive loss

(1,956)

(4,089)

(7,140)

(11,878)

Loss per share:

Basic and diluted from continuing operations

(0.01)

(0.12)

(0.09)

(0.24)

Basic and diluted from discontinued operation

(0.09)

(0.08)

(0.26)

(0.34)

Basic and diluted

(0.10)

(0.20)

(0.35)

(0.58)

Weighted average number of common

shares outstanding, in thousands:

Basic and diluted

20,450

20,459

20,457

20,403

*Share-based payment expense has

been included in expenses as follows:

Professional services

$

57

$

13

$

145

$

133

Research and development, net

76

5

203

47

Sales and marketing

16

(5)

60

38

General and administrative, net

53

7

102

56

$

202

$

20

$

510

$

274

The total revenue and expenses presented in the calculation of comprehensive loss for the year ended December 31, 2015 relates to Financial Services as the net of revenue and expenses for Healthcare have been presented as a loss from discontinued operation.

NexJ Systems Inc.

Consolidated Statements of Cash Flows

(Expressed in thousands of Canadian dollars)

(Unaudited)

Years ended December 31, 2015 and 2014

2015*

2014*

(Restated)

Cash flows from (used in) operating activities:

$

$

Loss for the period:

(7,140)

(11,878)

Adjustments for:

Depreciation and amortization

1,663

1,542

Share-based payment expense

510

274

Finance income

(116)

(265)

Foreign exchange gain

(495)

(457)

Impairment charge

-

1,887

Loss from discontinued operations

5,382

6,896

Change in non-cash operating working capital:

Accounts receivable

(761)

(1,076)

Prepaid expenses and other assets

(109)

689

Accounts payable and accrued liabilities and provisions

1,814

(1,269)

Deferred revenue

294

(534)

Net cash flows from (used in) operating activities

1,042

(4,191)

Net cash flows used in discontinued operation

(4,888)

(6,457)

(3,846)

(10,648)

Cash flows from (used in) financing activities:

Repurchase of common shares

(22)

(218)

Net settlement of earn-out liability

(22)

-

Net cash flows used in financing activities from continuing operations

(44)

(218)

Net cash flows used in financing activities from discontinued operation

-

(566)

Net cash flows used in financing activities

(44)

(784)

Cash flows from (used in) investing activities:

Purchase of property and equipment

(306)

(285)

Interest received

116

265

Net cash flows from (used in) investing activities

(190)

(20)

Effects of exchange rates on cash and cash equivalents

495

457

Decrease in cash and cash equivalents

(3,585)

(10,995)

Cash and cash equivalents, reclassified to held for distribution

(14)

-

Cash and cash equivalents, beginning of period

18,298

29,293

Cash and cash equivalents, end of period

$

14,699

$

18,298

Supplemental cash flow information:

Acquisition of property and equipment not yet paid for

$

59

$

-

* The fiscal year 2015 and 2014 figures have been presented for the classification of the Healthcare businessas a discontinued operation.